In November 2019, IMF Managing Director Kristalina Georgieva said that the total world debt reached 188 trillion dollars, or 230% of world GDP. The world is no longer able to repay such debts. The global ruling class needs to write them off, but under appropriate circumstances.
Given the scale of the problem, it seems the only circumstance under which such debts can be cancelled is a world war, or some other event which completely reboots the world’s existing economic and political system.
And just like that, a global epidemic emerges. In recent years, mass culture and the media have prepared public consciousness in countries around the world for a global epidemic, the consequences of which for civilization are comparable to global nuclear war.
COVID-19 predicted
The Rothschild family’s Economist magazine likes to puzzle its readers with forecasts for the coming year. While for ordinary people this is a simple prediction, for devotees, it’s a warning. It is enough to look at the cover of the magazine from 2019, one includes a panda that symbolizes China next to the four horsemen of the apocalypse. The new strain of coronavirus was first registered in December 2019.
Ten years ago, a set of forecasts by Western futurologist Peter Schwartz was published which not only advocates “forced reduction of the population of the Earth”, but also making money on the production of vaccines. One scenario referred to as the “bailiff step” (LOCK STEP) describes a global epidemic of an unknown virus and the establishment of a totalitarian regime in most Western countries.
It predicts that the panic caused by the epidemic of an unknown virus would put most air carriers on the verge of bankruptcy, end international tourism and cause a mass rush in pharmacies and shops where basic necessities such as medical masks can be bought.
Schwartz’s forecast said that under the pretext of stopping an unknown virus, Western governments will establish full control over the movements of ordinary citizens, their health and financial transactions.
Signs of financial crisis
Against the backdrop of panic that enveloped the entire world, financial markets began to experience crisis. In March, the US had to halt trading several times.
The largest Dow Jones stock index at the close of Monday fell by almost 3 thousand points, or 13%, the worst fall since Black Monday in 1987. By the number of points lost, March 16 was the worst day in Dow Jones’ history.
The base index collapsed after Trump announced that there might be an impending recession and that the Coronavirus Pandemic might last until July-August. Fear and uncertainty, financial experts say, can only be appeased by a decline in coronavirus infections. On European exchanges, the picture is absolutely similar.
Quarantine measures will potentially lead to company closures, but the general nervous environment also plays a role. The COVID-19 pandemic is accompanied by a global mental epidemic.
The key event occurred on March 15 when the US Federal Reserve made an unprecedented decision in recognition of the threat of an impending global crisis, opting to:
– reduce its interest rate by 1% (to 0-0.25%), a record high since 2008.
– launch a fourth round of quantitative easing: buying back government bonds for $500 billion alongside $200 billion of mortgage-backed papers
– raise the value of assets on the federal balance sheet from $4.3 trillion to a record $5 trillion
– reduce the emergency refinance rate through a discount window by 1.5% to 0.25% (even in 2008-2009 it did not drop below 0.5%)
– to, together with the Bank of England, the European Central Bank (ECB) central banks, Canada, Japan and Switzerland, reduce the rates on currency swaps in dollars to 0.25% (emergency loans in dollars).
– reduce claims on bank reserves from 10 to 0%
However, despite all the measures, the panic has only intensified. The US Federal Reserve’s actions are a signal that the situation in the world economy is critical. The coronavirus is not the cause of the collapse, but only the trigger, detonating decades of deep imbalances that were already gradually dragging the world economy into crisis.
This global financial and economic crisis was expected long before the Coronavirus and oil crisis had arrived. It doesn’t matter whether or not the coronavirus was artificial like the collapse in oil prices was thanks to American client state Saudi Arabia.
The New Totalitarianism
If we analyze the processes taking place in the world economy, we can conclude that the beginning collapse resembles the Great Depression. The Fed’s measures will only delay the collapse at best. In fact, the coronavirus is a good excuse for injecting liquidity into the market. However, what happens if the epidemic lasts longer?
In this crisis, literally all states and central banks will lose, and only a very narrow group of beneficiaries will win.
If the conspiracy theories about the man-made nature of the epidemic are at least partly true, the result of this crisis will be the redistribution of world wealth. The assets and savings of many countries, companies and individuals will be effectively redistributed in favour of the current financial oligarchy, namely, the approximately one hundred or so families that are already prepared for the crisis.
The share of their property in the global distribution will increase, although it is already very large, at least 40% as of 2010.
At the same time, there are more and more statements about the need to ban cash, because together with it, they say, infections are transmitted, which will lead to the total entrenchment of the person by the state (or monopolies that have merged with the state).
Coronavirus is already being used to put the army in the streets of European countries, and to deploy the National Guard in the US. French President Emmanuelle Macron says that he will “punish” anyone who breaks the quarantine. One can’t go out on the streets in France without special permission.
The epidemic may result in a situation where the majority of the world’s population will have to part with political and civil liberties. Already, COVID-19 is being used in Israel as a pretext to spy on the population.
The government of Prime Minister Benjamin Netanyahu authorized Israel’s internal security service, the Shin Bet, to tap personal cell phone data without court order in an effort to track coronavirus carriers.
The infamous Patriot Act used the pretext of counterterrorism to spy on the population in the US; COVID-19 will undoubtedly be used for the same reasons on a global scale.
At the same time, the main political beneficiaries will not be “authoritarian” leaders like Donald Trump, Boris Johnson or Recep Tayyip Erdoğan.
The main beneficiary will be the “deep state” in each country and the military industrial complex. It is the deep state: the intelligence, the military and intelligence officials, who will use the crisis to gain access over an increasing amount of information and more and more aspects of human life.
As an MIT PhD in Biological Engineering who studies & does research nearly every day on the Immune System, the #coronavirus fear mongering by the Deep State will go down in history as one of the biggest fraud to manipulate economies, suppress dissent, & push MANDATED Medicine! https://t.co/Q5VeOqzWEp
— Dr.SHIVA Ayyadurai, MIT PhD. Inventor of Email (@va_shiva) March 9, 2020
Unelected bureaucrats, along with the media and TNCs, will drive the world into chaos and fear in response to growing forces of populism around the world.
When it comes to survival – first in the face of an epidemic and then of a collapsing economy – there are no longer civil rights. At the same time, many small and medium-sized businesses will go bankrupt and only the largest companies will survive to take over the market. The consequence will be poverty, unemployment and the power of monopolies and development crime unprecedented since the 1930s.
As a result, we can expect, at least in Western Countries, a new oligarchic order, reminiscent of Jack London’s “Iron Heel”, but with spy-drones. However, the accumulation of these tendencies also testifies to the crisis within the modern capitalist world-system, where the elites realize they cannot keep hold on power by normal means.